What You Need To Know About The Next Round Of Stimulus Checks
Monthly stimulus checks are on the way for millions of American families but not everyone will get one. And it turns out that in a lot of cases, the government is just giving you back your own money since this is a child tax credit.
Who Qualifies For A Payment?
This time around only families with children qualify for the monthly payments. If you have kids 17 and under and your household qualified for the last round of $1400 stimulus checks and you meet income guidelines, you’re already set to receive the monthly payments.
Here’s a look at the income guidelines:
- Couples earning under $150,000 per year.
- Individuals earning less than $75,000 per year.
You don’t need to have a job or pay any taxes to claim that tax credit. Previously it was limited to families who’d earned at least $2500 a year in income. This time around, you aren’t required to have earned anything.
How Much Will I Get?
- Families that qualify will get $250 per month for each child between the ages of 6 and 17.
- For each child 5 and under, you’ll get $300.
- Couples that earn up to $170,000 and individuals making up to $95,000 are eligible for partial payment.
When Will I Get The Money?
Monthly checks should arrive each month July through December of 2021. The target date for the first check or deposit is July 15.
Where’s The Money Coming From?
The IRS increased the child tax credit to $3600 per child as part of the COVID-19 relief package. These payments are an advance on next year’s tax credit. Families will receive half the amount as a monthly payment and get the other half on next year’s tax return.
As we said before, you aren’t required to be employed or have earned any income to get the money.
If you’d prefer to get your payment in one lump sum next year, you’ll be able to opt-out of the monthly payments and claim the full credit when you file your taxes.
The IRS is in the process of setting up an online portal to handle options like that or adding a new addition to your family into your information.